U.S Government Debt ( US Treasuries ) Were Attacked By Naked Short Selling Leading Into 911 ?

What does "shorting" exactly mean?

Short selling is a perfectly legitimate practice. It involves traders borrowing shares and then selling them, hoping the price will drop so that they can repurchase the shares at a discount, return them to the lender, and pocket the difference. In “naked” short sales, traders do not borrow or purchase stock before they sell it. They simply sell what they do not have – phantom stock. You probably can imagine how easy it is for someone to suppress the price of a security if they are able to swamp a market with artificial supply.

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In 2005, "Regulation SHO" was enacted, requiring that broker-dealers have grounds to believe that shares will be available for a given stock transaction, and requiring that delivery take place within a limited time period.[3][6] As part of its response to the crisis in the North American markets in 2008, the SEC issued a temporary order restricting short-selling in the shares of 19 financial firms deemed systemically important, by reinforcing the penalties for failing to deliver the shares in time.[7] Effective September 18, 2008, amid claims that aggressive short selling had played a role in the failure of financial giant Lehman Brothers, the SEC extended and expanded the rules to remove exceptions and to cover all companies, including market makers.[8][9]

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Meanwhile, there is strong evidence that the markets for U.S. government debt have also come under attack. The first naked short selling assault on U.S. Treasuries was launched in September 2001, at the time of Al Qaeda’s attacks on the World Trade Center and the Pentagon. In the months and weeks before the 9-11 tragedy, a daily average of $1.5 billion worth of U.S. government bonds failed to deliver. On the days immediately before 9-11, the daily failures to deliver soared to an astounding average of $1.5 trillion and continued to rise in the days after the attacks.

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I have never heard this argument before about the notational value of short sided trades that failed to deliver. I came across this article earlier this afternoon and wanted to see if anyone else has read anything like that before?

You will have to read this entire article here , which is also quoted in small form in the beginning of this post.

My guess is that if all this activity was going on pre 9-11 ( the article comes close to the assumption as well ) that there were people with high enough power to let this all slide. If these firms are actually able to somehow short sell US Gov. Debt and FTD multiple times without immediately being investigated by SEC / FBI within minutes you should know something is up. 1.5 Trillion in fake "paper" littering the floor everyday and you never stopped to think about what is going on? I really, really do not buy that.

The thing is I have no idea where this article is getting their facts from and I also have no idea where the SEC / US Gov. has published these numbers.

Wow. this is amazing. No, I had never heard of treasuries being shorted, I wonder if this has anything to do with Rummy;s $2.5 trillion unaccounted for?
There may be a connection between these and the 9/11 attacks,
Very very interesting

It may be a very big coincidence? I am still not sure exactly what that "lost money" was all about to be honest. I am not sure if that is taken out of context or..

But yeah, anyway, I never heard a thing about this until now. I heard about the supposed options trading on the airlines, but I believe this to be much more damning if true. Trillions in fake paper every day? I am not sure if this is sensationalism in regards to the article, or if this indeed really is the case?

After some more research I came about this link here

This is nuts if really true.

The sale of USTreasury Bonds in the last two years has exceeded the USGovt debt issuance by $1.5 trillion.